Long-term clients can be the foundation of any business, particularly firms that offer client accounting services. Accounting services are an ongoing need for nearly every business in the world. While many handle accounting internally, companies of all sizes prefer relying on an external firm for ongoing work. These relationships can last years or even decades.
Almost every prospective client will tell you they want to work with you for a while. But how do you know if they really will? There’s no hard-and-fast rule, but certain traits can help you determine whether accounting firm clients want to work with the same provider for a long time. Below are a few of the most important.
Arguably, the two most important characteristics to consider in a potential long-term client are the client's history and the nature of their business. Is the company a new startup with a lofty goal of completely changing its industry? Or have they been around for quite a while in their chosen field?
Keep in mind that just because an industry or company has been there for a while, it doesn’t always mean it’ll be around for a long time in the future. There are lots of travel agencies and taxi companies who can tell you about how quickly times change!
Another challenge with some industries is their susceptibility to government changes. Certain types of green energy and tech companies are a great example, as are companies in recently formed industries like cryptocurrency and cannabis. New legislation passed, or even changes in presidential administration, could significantly change a company's operations or even cause these businesses to shut down altogether. However, these developments can also happen the opposite way. For example, there was an uptick in demand for client accounting services for cryptocurrency after the Financial Accounting Standards Board (FASB) published guidance on the disclosure of crypto assets in December 2023.
Thinking about how you first met someone can provide valuable context that gives you more intel on them as a business prospect.
You could ask yourself questions like, “Are they a friend of a friend or family member? Did you meet them at a conference for large enterprises or a local networking event?” Don’t just consider the specific venue or situation but also the nature of the interactions you had with them there—for instance, were they looking for a new long-term provider?
Consider any clues they might have given you throughout the conversation. Maybe they mentioned that their last client accounting services provider was with them for many years, or they talked about a different kind of service provider that they’ve had an ongoing relationship for a while.
If they have the resources and the right attitude towards service providers, there’s a good chance that they can become long-term clients. And remember, sometimes you can get introduced to big clients in an unexpected way. Don’t discount a prospect too early just because you met them somewhere you might not normally expect to find a successful client.
There’s an old cliche about some accounting firms being stuck in the past, using outdated methods of organizing their records and client collaboration. These firms often use tools like fax machines, filing cabinets, and other relics that may work but aren’t as efficient as more modern methods.
In some (but not all) cases, accounting firms allow themselves to fall behind the technology curve because their clients have a similar perspective on work tools. After all, if the companies you work with prefer these old-school methods, it can be tough to convince them to go in a different direction or find the motivation to do so within your own firm.
Unfortunately, this approach isn’t sustainable. Eventually, you’ll need to upgrade your file storage methods, for example, or switch to a digital communication platform that may not come naturally to your clients. Even if some clients may seem happy doing things like mailing letters through the post or faxing over important signed documents, your firm needs to evolve beyond outdated technology if you want to compete in the modern client accounting services industry.
You can’t let your clients be a bottleneck—that’s why it’s so important to ensure you work with companies that are willing to adopt technology, even if it may not be their first choice. The best clients will not only be willing to use more sophisticated technology; they might even be able to show you a thing or two!
Remember that your best bet is to use each client descriptor as a starting point and customize it as needed. The great thing about marketing is that there’s no right or wrong way to do it—as long as you have a consistent approach that fits your specific business needs and helps you find new opportunities over time, feel free to use any method that works.
However you choose to find new clients, we suggest incorporating your marketing processes into a larger accounting practice management software suite. Running your firm with this kind of tool as the foundation will help you keep your marketing, project management, and internal accounting tasks running smoothly so that new clients contribute to the growth of the business without overwhelming your team.
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